Customs and border crossings: capture of customs revenue by officials, parties and armed groups (from 2003 to 2021)
Finance Minister Ali Allawi said in June 2020 that customs should yield about $6bn a year but less than $1bn was being collected; in 2021 he told AFP customs should bring $7bn a year while only 10 to 12% reached the Finance Ministry, describing collusion between officials, political parties, gangs and corrupt businessmen. PM Mustafa al-Kadhimi launched a campaign in July 2020 to retake border crossings (Mandali, Zurbatiya, Shalamcheh), replacing security forces and automating procedures; Umm Qasr officials later reported a large revenue increase. AFP (March 2021) described a "cartel" sharing the spoils, including armed factions.
- Period
- From 2003 to 2021
- Sector
- Tax, customs and portsLand border crossings and Umm Qasr port
- Kind of case
- Official statement or estimate
- Jurisdiction
- Federal Iraq
How the money moved, according to the sources
Under-declaration and misclassification of imports, bribes to waive duties, fake exemptions, parallel "fees" collected by factions controlling crossings, and manipulation of automated systems.
What happened
Reform campaign (from 2020 to 2021) and automation; many individual Integrity cases.
Open questions
- Border Ports Commission annual revenue series from 2015 to 2025 (official) to test the before-and-after claim.
- Integrity Commission cases at crossings (numbers, convictions).
People and companies
| Name | Role in the case | Legal status | Detail | As of |
|---|---|---|---|---|
| Ali Allawi علي علاوي | Minister of Finance (from 2020 to 2022) | Not charged as of the date of writing | Source of estimates. | 25 September 2026 |
| Mustafa al-Kadhimi مصطفى الكاظمي | Prime Minister (from 2020 to 2022) | Not charged as of the date of writing | Launched the 2020 border-crossings campaign. | 25 September 2026 |
Sources
- Al Jazeera Net11 July 2020Press reportTier D
الكاظمي يتوعد الفاسدين في الجمارك لدى إعادة فتح معبر حدودي
Originalولكن ما يتم تحصيله هو أقل من مليار دولار حاليا
- Al-Monitor (Shelly Kittleson)19 January 2021Press reportTier D
Iraqi port revenue surges as anti-corruption move bears fruit
Originalrevenue had increased enormously following anti-corruption measures enforced last summer
- Asharq Al-Awsat (AFP)30 March 2021Press reportTier D
الفساد على حدود العراق البرية والبحرية
Originalهناك نوع من التواطؤ بين مسؤولين وأحزاب سياسية وعصابات ورجال أعمال فاسدين